All Forum Posts by: Jai Deva

thanks Kevin Siedlecki and Brent Coombs . You are right, it is assessed value for tax purposes. I haven't looked at comps yet. It is not the best neighborhood in the city but it's not a complete war zone either. May be between b and c. Do you guys think it's a good deal?

I am interested in a quad. Numbers below: 

Asking price 120K

Total rent: 2150/month

Expenses: 

P&I: 483 (5% int rate, confirmed with my lender)

Insurance: 100/month (not confirmed yet)

Management: 215/month (10%)

Taxes: $80/month (county office)

Cap ex - $107 (new roof, new AC)

Maintenance: $215

Other expense: lawn 50/month

Vacancy: 107 (has long term tenants, all four unit rented by same tenants for >2 yrs ) 

Bigger pockets calculator showing monthly cash flow of $791 ($591 by 50% rule) 

The county website also mentions that the property appraised at $66000 last year so it means negative equity, right? 

This is my second buy and hold property but first multi-family. Your inputs are very much appreciated. Thank you. 

thanks for the answers. So even if the bank decides to write a letter (which I doubt they will) it's no good?

Only 20 days before the closing date, the bank is now refusing llc loan and asking me to take the loan under my name and later convert it to llc. This is after they had said initially that they do loans on llc. I know this can trigger a due on sale clause but can I ask the bank to give me some kind of paper that says they will let me do it? i am reluctant to find another bank because there is not much time and I don't want to be hit with another credit check. Thanks

thanks a lot

I need recommendations for an insurance agent in Birmingham, Alabama for dwelling coverage on a sfh. Thanks

Clayton Mobley thanks a lot for this explanation. clears many of my doubts. you mentioned 15k equity at purchase. I know it's stupid question but what do you mean? is it different from 20% down that I would pay with conventional mortgage? Once again, thank you.

@Dave Williamson , you are right its more C- neighborhoods. 

Hi all, I am starting out to invest in Birmingham, Al area. I have found some good buy and hold properties in two completely different neighborhoods. One in Calera, Alabaster area where houses are newer, schools better and more chances of appreciations. The houses cost 120K with rent in $1200-1400 range. The other is north Birmingham area where houses are older and appreciation chances are minimal but the prices are $700-900 with section 8. Both properties are turnkey, so completely rehabbed and tenants in place. Cashflow using BP rental property calculators come out to be $150-300/month.

What would be the ideal strategy to start building my portfolio for buy and hold? 

I am planning to get property management and be hands-off 

Thank you for the advice. 

@Kreighton Reed , that's a good point. I will speak with an attorney if I can use the one EIN for business transactions for all sub LLCs within the series or I have to use individual EINs. I am not sure how it works.